Monthly Policy Review
Highlights of this Issue
Winter Session 2018 of Parliament ends; Budget Session 2019 begins
Five Bills were passed by Parliament in the Winter Session including a Constitutional Amendment Bill to enable reservation for economically weaker sections.
GDP estimated to grow at 7.2% in 2018-19, growth in earlier years revised
The growth in all sectors, except mining and services, is expected to increase from that in 2017-18. The revised the estimated growth in 2016-17 is 8.2% (earlier estimate 7.1%) and 2017-18 is 7.2% (earlier estimate 6.7%).
President’s Address highlights key achievements made in the past five years
The Address focused on the achievements over the last five years across various sectors including health, sanitation, skill development and job creation.
124th Constitutional Amendment Bill passed by Parliament
The Bill provides for 10% reservation in education and public employment to economically weaker sections. Reservation of 10% in central educational institutions and central government posts have been notified.
Eleven Bills passed by Lok Sabha during the Winter Session 2018
These include the Citizenship (Amendment) Bill, the DNA Technology Bill, 2018, the Aadhaar (Amendment) Bill, the Transgender Bill, and the Triple Talaq Bill.
Three Ordinances re-promulgated
These were the Triple Talaq Ordinance, the Companies (Amendment) Ordinance, and the Indian Medical Council (Amendment) Ordinance.
National Clean Air Programme for India released
The five-year Programme aims to meet the prescribed annual average ambient air quality standards at all locations in the country through a combination of stricter enforcement and mitigation.
CAG submits report on compliance of the FRBM Act by centre during 2016-17
The CAG observed that the centre has increasingly resorted to off-budget financing to meet its expenditure requirements. These off-budget methods are outside budgetary control and thus, parliamentary control.
GST Council approves levy of cess in Kerala, increase in registration limit
The cess will be levied on intra-state supplies within the state of Kerala at a rate not exceeding 1% for a period of up to two years. Revenue generated from levy of the cess will be used as resources for natural calamities.
Parliamentary Committees submit reports on various subjects
The subjects include the Tribal Sub-Plan, hydro power, stressed assets in gas based power plants, and agricultural marketing and role of weekly gramin haats.
Draft Emigration Bill released by Ministry of External Affairs
The draft Bill seeks to provide a regulatory mechanism to govern overseas employment of Indian nationals, and protect the welfare of Indian emigrants.
High Level Committee constituted by RBI on deepening digital payments
The terms of reference include assisting current levels of digital payments in facilitating financial inclusion and suggesting measures to strengthen the security of digital payments.
Parliament
Zarka Shabir (zarka@prsindia.org)
Winter Session of Parliament ends; Budget Session begins
The Winter Session of Parliament ended on January 9, 2019. During the session Parliament passed five Bills. These include the Constitution (124th Amendment) Bill, 2019 (reservation for economically weaker sections), the National Council for Teacher Education (Amendment) Bill, 2017, and the Right of Children to Free and Compulsory Education (Second Amendment) Bill, 2017.[1]
Bills passed by one House and currently pending in the other House include the Citizenship (Amendment) Bill, 2016, the DNA Technology (Use and Application) Regulation Bill, 2018, the Transgender Persons (Protection of Rights) Bill, 2016, the Muslim Women (Protection of Rights on Marriage) Bill, 2018, and the Aadhaar and Other Laws (Amendment) Bill, 2018.
Bills introduced during the session include the National Commission for Homoeopathy Bill, 2019, the Trade Unions (Amendment) Bill, 2019, and the Protection of Children from Sexual Offences (Amendment) Bill, 2019. The Allied and Healthcare Professions Bill, 2018, the National Commission for Indian System of Medicine Bill, 2019, and the National Commission for Homoeopathy Bill, 2019 have been referred to a Parliamentary Committee for detailed examination.
The Budget Session of Parliament commenced on 31st January and will end on 13th February. It will have a total of 10 sittings.
For more details on the legislative business taken up during the Winter Session 2018, see here. For details on the functioning of Parliament during the session, see here.
The President of India, Mr. Ram Nath Kovind, addressed a joint sitting of both Houses of Parliament on January 31, 2019.[2] He outlined the major policy achievements of the government in his address. Highlights of the address include:
For more details on the President’s address, please see here. For an analysis of the President’s addresses since 2014 to 2018, please see here.
Macroeconomic Development
Gayatri Mann (gayatri@prsindia.org)
GDP in 2018-19 estimated to grow at 7.2%; growth in earlier years revised up
There were two releases related to Gross Domestic Product (GDP) during the month. The first release estimated the expected growth in 2018-19 (at constant 2011-12 prices) at 7.2% in over the previous year.[3] This is estimated to be higher than the 6.7% growth in 2017-18.
GDP across economic sectors is measured in terms of Gross Value Added (GVA). GVA of the country is estimated to grow at 7% in 2018-19, as compared to 6.5% in 2017-18. Table 1 shows the growth in GVA across sectors.
Table 1: Gross Value Added across sectors (growth in %, year-on-year)
Sector |
2016-17 |
2017-18 |
2018-19 |
Agriculture |
6.3% |
3.4% |
3.8% |
Mining |
13.0% |
2.9% |
0.8% |
Manufacturing |
7.9% |
5.7% |
8.3% |
Electricity |
9.2% |
7.2% |
9.4% |
Construction |
1.3% |
5.7% |
8.9% |
Services |
7.5% |
7.9% |
7.3% |
GVA |
7.1% |
6.5% |
7.0% |
Note: Data for 2017-18 is provisional estimates and for 2018-19 is first advance estimates. GVA is measured at base prices (2011-12).
Sources: Central Statistics Office, MOSPI; PRS.
The growth rate in all sectors, except mining and services, is expected to increase from that in 2017-18. Electricity and construction sectors are expected to grow the fastest. Agriculture is expected to moderately increase from a growth rate of 3.4% in 2017-18 to 3.8% in 2018-19.
Later, a second release provided the first revised estimates for 2017-18.[4] This revised the estimated growth in 2016-17 at 8.2% (earlier estimate 7.1%) and 2017-18 at 7.2% (earlier estimate 6.7%).
Retail inflation at 2.19% in the third quarter of 2018-19
The Consumer Price Index (CPI) inflation (base year: 2011-12, year-on-year) marginally decreased from 3.38% in October 2018 to 2.19% in December 2018.[5] Food prices fell throughout the quarter, decreasing by 0.86% in October 2018, and even more sharply by 2.51% in December 2018.
The Wholesale Price Index (WPI) inflation (base year: 2011-12, year-on-year) decreased from 5.54% in October 2018 to 3.8% in December 2018.[6] Trends in inflation during the third quarter of 2018-19 are shown in Figure 1.
Figure 1: Inflation trends in Q3 2018-19
(% change, year-on-year)
Sources: Ministry of Statistics and Programme Implementation; Ministry of Commerce and Industry; PRS.
Finance
Standing Committee submits report on the Banning of Unregulated Deposit Schemes Bill, 2018
Gayatri Mann (gayatri@prsindia.org)
The Standing Committee on Finance (Chair: Dr. M. Veerappa Moily) submitted its report on the Banning of Unregulated Deposit Schemes Bill, 2018 on January 3, 2019.[7] The Bill provides for a mechanism to ban unregulated deposit schemes and protect the interests of depositors. It also seeks to amend three laws. These are the Reserve Bank of India Act, 1934, the Multi-State Co-Operative Societies Act, 2002, and the Securities and Exchange Board of India Act, 1992. Key observations and recommendations of the Committee include:
A deposit-taking scheme is defined as ‘unregulated’ if it is not registered with the regulators listed in the Bill. The Committee observed that the definition of ‘unregulated deposits’ is left for residual interpretation under the Bill. This could allow open-ended and subjective decisions by authorities while adjudicating offences related to such deposits. It recommended that unregulated deposits be more coherently defined and listed in a schedule to the Bill.
For a PRS report summary, see here.
High Level Committee constituted on deepening of digital payments by the RBI
Gayatri Mann (gayatri@prsindia.org)
The Reserve Bank of India constituted a High Level Committee on Deepening of Digital Payments.[8] The Committee will be chaired by Mr. Nandan Nilekani (former Chairman, Unique Identification Authority of India) and have representatives from the government and banking industry.
The terms of reference of the High Level Committee include: (i) assessing current levels of digital payments in facilitating financial inclusion, (ii) reviewing the existing status of digitisation of payments and suggesting a strategy to increase digital payments, (iii) suggesting measures to strengthen the safety and security of digital payments, and (iv) studying global best practices that can be adopted to accelerate digitisation and financial inclusion through the use of digital payments.
The Committee is expected to submit its report within 90 days from its first meeting.
RBI releases guidelines on restructuring of advances to MSMEs
Gayatri Mann (gayatri@prsindia.org)
The Reserve Bank of India (RBI) released guidelines to allow one-time restructuring of existing stressed loans to micro, small and medium enterprises (MSMEs).[9] In order to be eligible for loan restructuring, the following conditions will apply on the borrowing MSME: (i) the aggregate exposure of banks and NBFCs to the borrower does not exceed Rs 25 crore as on January 1, 2019, (ii) the borrower’s account is in default, but is classified as a standard asset as on January 1, 2019 and continues to be classified similarly till the date of restructuring, and (iii) the borrower is a GST-registered entity on the date of implementation of the restructuring.
In addition to the provisions already made, a provision of 5% shall be made for borrowings restructured under the scheme. To adopt this, each bank or NBFC is required to formulate a policy for the scheme, with board approval, within one month of the date of the circular. The policy should include a framework for viability assessment of the stressed accounts and regular monitoring of the restructured accounts.
Accounts restructured under the scheme will not be downgraded to a non-performing asset (NPA). Further, accounts classified as NPA can be restructured, with existing asset classification norms being applicable.
Restructuring of eligible accounts is to be completed before March 31, 2020.
Expert Committee constituted on MSMEs by the RBI
Gayatri Mann (gayatri@prsindia.org)
The Reserve Bank of India constituted an Expert Committee on Micro, Small and Medium Enterprises (MSMEs).[10] The Committee will be chaired by Mr. U. K. Sinha (former Chairman, Securities and Exchange Board of India).
The terms or reference of the Expert Committee include: (i) reviewing the current institutional framework supporting the MSME sector, (ii) examining factors affecting timely and adequate financing to the sector, (iii) examining the impact of recent economic reforms on the sector, and (iv) proposing measures for leveraging technology in accelerating growth of the sector.
The Committee is expected to submit its report by the end of June 2019.
RBI releases guidelines on tokenisation of card transactions
Gayatri Mann (gayatri@prsindia.org)
The RBI released guidelines on “tokenisation” of card transactions.[11] Tokenisation involves a process in which a unique token masks sensitive card-related information, such as the card number at the point of sale. A token is unique at the level of a card, token requestor (third party application provider) and device. Instead of actual card details, the token is used to perform card transactions.
Authorised card payment networks can offer tokenisation services to any token requestor based on certain conditions, including:
Tokenisation will be available for mobile phones and tablets presently, and later extended to other devices based on experience.
CAG submits report on compliance of the FRBM Act, 2003 by the central government during the year 2016-17
Suyash Tiwari (suyash@prsindia.org)
The Comptroller and Auditor General (CAG) of India submitted its report on compliance of the Fiscal Responsibility and Budget Management (FRBM) Act, 2003 for the year 2016-17.[12] The FRBM Act requires the central government to ensure responsible fiscal management and long-term stability. The Act also requires it to ensure prudential debt management through limits on borrowings, debt and deficits. Key observations and recommendations of the CAG include:
For a PRS report summary, please see here.
GST Council approves levy of cess in Kerala to generate funds for calamities
Suyash Tiwari (suyash@prsindia.org)
The GST Council allowed Kerala to levy a cess on intra-state supply of goods and services.[13] Revenue generated from levying the cess will be used as funds for relief measures required to be taken due to natural calamities. Article 279A (4) of the Constitution provides for the GST Council to make recommendations to the centre and states on any special rate (for a specified period) to raise additional resources during any natural calamity or disaster.
The cess will be levied at a rate not exceeding 1% for a period of up to two years.
GST Council approves revised threshold limits for registration, new composition scheme for suppliers of services
Suyash Tiwari (suyash@prsindia.org)
The GST Council approved revised threshold limits of turnover below which suppliers of goods will be exempted from registration and payment of GST.[14] The Council approved two threshold limits: (i) Rs 20 lakh, and (ii) Rs 40 lakh. States can choose the limit that they want to adopt in their state. Presently, the threshold limit for registration for suppliers of goods as well as services is Rs 20 lakh in all states except Manipur, Mizoram, Nagaland, and Tripura (where it is Rs 10 lakh). The limit remains unchanged for suppliers of services.
Further, the GST Council approved an increase in the threshold limit specified for the composition scheme from one crore rupees to one crore and fifty lakh rupees. Under the composition scheme, certain taxpayers with their annual turnover within this limit are allowed to pay GST on their turnover, instead of on the value of supply of goods and services.
Under the GST laws, suppliers of services (other than restaurant services) are eligible for the composition scheme only under a specific condition. Such suppliers are eligible if the value of supply of their services does not exceed 10% of their turnover in the state in the previous financial year, or five lakh rupees, whichever is higher. The GST Council approved another composition scheme for suppliers of services who have their annual turnover within Rs 50 lakh. Under the approved composition scheme, the suppliers will be liable to pay an amount of GST equivalent to 6% of their annual turnover. Suppliers who supply goods along with services will also be eligible for the approved scheme.
The approved composition scheme as well as the increase in threshold limits will come into effect on April 1, 2019.
Cabinet approves creation of the national bench of the GST Appellate Tribunal
Suyash Tiwari (suyash@prsindia.org)
The Union Cabinet approved the creation of the national bench of the Goods and Services Tax Appellate Tribunal (GSTAT).[15] The Central Goods and Services Tax Act, 2017 requires the central government to constitute a GST appellate tribunal at the national level and its benches at the state level. The GSTAT will hear appeals against orders passed by the appellate authorities constituted under the central and state GST laws.
The GSTAT will be headed by its President (a judicial member) and consist of two technical members with experience in tax administration. Of the two technical members, one will represent the centre, and the other will represent the states. For the national bench, the judicial member will be appointed by the central government after consultation with the Chief Justice of India or his nominee. The technical members of the bench will be appointed by the central government on the recommendations of a selection committee.
Social Justice and Empowerment
Roshni Sinha (roshni@prsindia.org)
124th Constitutional Amendment Bill passed to enable reservation for economically weaker sections
The Constitution (One Hundred and Twenty-Fourth Amendment) Bill, 2019 was introduced and passed by Parliament.[16] The Bill seeks to provide for the advancement of “economically weaker sections” of citizens.
Note that the provisions for reservation in central educational institutions and direct recruitments for central government posts have been notified.23, 29 A PRS summary of the Bill is available here.
Home Affairs
Vinayak Krishnan (vinayak@prsindia.org)
Lok Sabha passes Citizenship (Amendment) Bill, 2016
The Citizenship (Amendment) Bill, 2016 was passed by Lok Sabha.[17] The Bill amends the Citizenship Act, 1955. The Joint Parliamentary Committee on the Citizenship (Amendment) Bill, 2016 (Chaiperson: Mr Rajendra Agrawal) submitted its report on the Bill on January 7, 2019.[18] The Bill as reported by the Committee was passed by Lok Sabha. Key features of the Bill are:
For more information on the Bill, see here.
Committee constituted on implementation of Assam Accord
A High-Level Committee has been constituted for implementation of clause six of the Assam Accord.[19] The Assam Accord was signed on August 15, 1985.[20] Clause six of the Accord states that appropriate constitutional, legislative, and administrative safeguards will be provided to protect the cultural, social, and linguistic identity of the Assamese people.
The Terms of Reference of the Committee include: (i) examining the effectiveness of actions taken to implement clause six of the Accord, (ii) assessing the appropriate level of reservation of seats in the Assam Legislative Assembly and local bodies for the Assamese people, and (iii) suggesting measures to protect Assamese and other languages of Assam.
The Committee is required to submit its report within six months.
Education
Gayatri Mann (gayatri@prsindia.org)
The RTE (Second Amendment) Bill, 2017 passed by Parliament
The Right of Children to Free and Compulsory Education (Second Amendment) Bill, 2017 was passed by Parliament.[21] The Bill was introduced in Lok Sabha on August 11, 2017 and amends the Right of Children to Free and Compulsory Education Act, 2009.
The Act prohibits detention of children till they complete elementary education i.e., class 8. The Bill seeks to amend this provision to empower the central or state government to allow schools to hold back a child in class 5, class 8, or in both the classes.
The Bill seeks to amend this provision to state that a regular examination will be held in class 5 and class 8 at the end of every academic year. If a child fails in the examinations, he will be given additional instruction, and will take a re-examination. If he fails in the re-examination, the relevant central or state government may decide to allow schools to detain the child.
For more details on the Bill, see here.
The National Council for Teacher Education (Amendment) Bill, 2017 passed by Parliament
The National Council for Teacher Education (Amendment) Bill, 2017 was passed by Parliament.[22] The Bill was introduced in Lok Sabha on December 18, 2017. It amends the National Council for Teacher Education Act, 1993. The Act establishes the National Council for Teacher Education (NCTE) which regulates the teacher education system and the standards it is required to maintain.
The Bill seeks to grant retrospective recognition to institutions: (i) notified by the central government, (ii) funded by the central government or state/union territory government, (iii) which do not have recognition under the Act, and (iv) which must have offered teacher education courses on or after the establishment of the NCTE until the academic year 2017-2018. It also seeks to grant retrospective permission to such institutions to start a new course or offer training in teacher education.
For more details on the Bill, see here.
Reservation of 10% for economically weaker sections for admission in central educational institutions
The Department of Higher Education notified reservation of up to 10% for economically weaker sections in admission in all central educational institutions, with effect from academic year 2019-20.[23]
The reservation will be provided in all central educational institutions which include universities set up by Acts of Parliament, institutions of national importance, and institutions deemed to be a university. With prior approval of the appropriate authority (such as the University Grants Commission, or the Bar Council of India), every central educational institution, should increase its seats above its annual permitted strength so that the number of seats available, excluding those reserved for persons belonging to the economically weaker sections, is not less that the number of seats for the previous academic session.
The following persons will not be eligible for the reservation:
Health
Gayatri Mann (gayatri@prsindia.org)
The National Commission for Homoeopathy Bill, 2019 introduced in Rajya Sabha
The National Commission for Homoeopathy Bill, 2019 was introduced in Rajya Sabha and referred to the Standing Committee on Health and Family Welfare[24]. The Committee is expected to submit its report on January 30, 2019. The Bill repeals the Homoeopathy Central Council Act, 1973 and provides for a medical education system which ensures: (i) availability of adequate and high quality homoeopathic medical professionals, (ii) adoption of the latest medical research, and (iii) periodic assessment of medical institutions.
Key features of the Bill include:
For more information on the Bill, see here.
The National Commission for Indian System of Medicine Bill, 2019 introduced in Rajya Sabha
The National Commission for Indian System of Medicine Bill, 2019 was introduced in Rajya Sabha and referred to the Standing Committee on Health and Family Welfare.[25] The Committee is expected to submit its report on January 30, 2019. The Bill repeals the Indian Medicine Central Council Act, 1970 and provide sfor a medical education system which ensures: (i) availability of adequate and high quality medical professionals of Indian system of medicine, (ii) adoption of the latest medical research by medical professionals, and (iii) periodic assessment of medical institutions. Key features of the Bill include:
For more information on the Bill, see here.
Indian Medical Council (Amendment) Ordinance 2019 promulgated
The Indian Medical Council (Amendment) Ordinance, 2019 was promulgated on January 12, 2019.[26] It replaces a previous Ordinance promulgated on September 26, 2018. The Ordinance amends the Indian Medical Council Act, 1956 which sets up the Medical Council of India (MCI) which regulates medical education and practice.
Note that the Indian Medical Council (Amendment) Bill 2018 (to replace the 2018 Ordinance) was passed by Lok Sabha on December 31, 2018 and is currently pending in Rajya Sabha.
For more information on the Bill, see here.
Cabinet approves restructuring of the National Health Agency
The Union Cabinet approved the restructuring of National Health Agency as National Health Authority.[27] The National Health Agency is an autonomy body responsible for the design, implementation, and management of Pradhan Mantri Jan Arogya Yojana.[28] Set up in May 2018, the National Health Agency is currently registered under the Society Registration Act, 1860. With this approval, the existing society has been dissolved and will be replaced by National Health Authority as an attached office to Ministry of Health and Family Welfare. The Authority will be governed by a Governing Board (Chair: Minister of Health and Family Welfare). Members of the Board will include representatives of the central government, representatives from states on a rotational basis, and experts.
Personnel and Public Grievances
Roshni Sinha (roshni@prsindia.org)
Reservation of 10% in direct recruitment vacancies notified for economically weaker sections
The Department of Personnel and Training notified reservation of up to 10% in all direct recruitment vacancies in government posts, with effect from February 1, 2019.[29] The following persons will not be eligible for the reservation:
Environment
Roshni Sinha (roshni@prsindia.org)
National Clean Air Programme launched
The Ministry of Environment, Forest and Climate Change launched a five year action plan called the National Clean Air Programme (NCAP).[30] The NCAP aims to meet the prescribed annual average ambient air quality standards at all locations in the country. Key features of the NCAP include:
Law and Justice
Muslim Women (Protection of Rights on Marriage) Bill, 2018 passed by Lok Sabha; subsequently Ordinance promulgated
Roshni Sinha (roshni@prsindia.org)
The Muslim Women (Protection of Rights on Marriage) Bill, 2018 was passed by Lok Sabha.[31] It replaces an Ordinance promulgated on September 19, 2018.[32] Key features of the 2018 Bill include:
After the conclusion of the winter session of Parliament, the Muslim Women (Protection of Rights on Marriage) Ordinance, 2019 was promulgated on January 12, 2019.[33] The Ordinance is similar to the Muslim Women (Protection of Rights on Marriage) Bill, 2018, pending in Rajya Sabha.31 The Ordinance replaces a previous Ordinance promulgated on September 19, 2018.32
A PRS summary of the Bill is available here.
The Aadhaar and Other Laws (Amendment) Bill passed by Lok Sabha
Roshni Sinha (roshni@prsindia.org)
The Aadhaar and Other Laws (Amendment) Bill, 2018 was introduced and passed by Lok Sabha.[34] The Bill amends the Aadhaar (Targeted Delivery of Financial and Other Subsidies, Benefits and Services) Act, 2016, the Indian Telegraph Act, 1885, and the Prevention of Money Laundering Act, 2002.
For a PRS Bill Summary, see here.
Protection of Children from Sexual Offences (Amendment) Bill, 2019 passed by Lok Sabha
Zarka Shabir (zarka@prsindia.org)
The Protection of Children from Sexual Offences (Amendment) Bill, 2019 was introduced in Lok Sabha in January 2019. The Bill amends the Protection of Children from Sexual Offences Act, 2012. The Act seeks to protect children from offences such as sexual assault, sexual harassment, and pornography.
The Bill seeks to augment the penalties prescribed for sexually-related offences. Key amendments include:
A PRS summary of the Bill is available here.
Personal Laws (Amendment) Bill passed by Lok Sabha
Roshni Sinha (roshni@prsindia.org)
The Personal Laws (Amendment) Bill, 2018 was passed by Lok Sabha.[35] It seeks to amend five Acts. These are: (i) the Divorce Act, 1869, (ii) the Dissolution of Muslim Marriage Act, 1939, (iii) the Special Marriage Act, 1954, (iv) the Hindu Marriage Act, 1955, and (v) the Hindu Adoptions and Maintenance Act, 1956.
These Acts contain provisions related to marriage, divorce, and separation of Hindu and Muslim couples. Each of these Acts prescribe leprosy as a ground for seeking divorce or separation from the spouse.
The Bill seeks to remove this as a ground for divorce or separation.
A PRS summary of the Bill is available here.
The New Delhi International Arbitration Centre Bill, 2018 passed by Lok Sabha
Roshni Sinha (roshni@prsindia.org)
The New Delhi International Arbitration Centre Bill, 2018 was passed by Lok Sabha.[36] It seeks to establish an autonomous and independent institution for better management of arbitration in India. Key features of the Bill include:
A PRS summary of the Bill is available here.
Corporate Affairs
Roshni Sinha (roshni@prsindia.org)
Companies (Amendment) Bill, 2018 passed by Lok Sabha; subsequently Ordinance promulgated
The Companies (Amendment) Bill, 2018 was passed by Lok Sabha.[37] It replaces an Ordinance promulgated on November 2, 2018.[38] The Bill amends several provisions in the Companies Act, 2013 relating to penalties, among others.
After the conclusion of the winter session of Parliament, the Companies (Amendment) Ordinance, 2019 was promulgated on January 12, 2019.[39] The Ordinance is similar to the Companies (Amendment) Bill, 2018, pending in Lok Sabha.37 The Ordinance replaces a previous ordinance promulgated on November 2, 2018.38
A PRS summary of the Bill is available here.
Certain public companies exempted from the requirement to dematerialise shares
The Ministry of Corporate Affairs notified amendments to the Companies (Prospectus and Allotment of Securities) Third Amendment Rules, 2014. The 2014 Rules were earlier amended in September 2018 to provide that issue of further shares and transfer of all shares by unlisted public companies may only be in dematerialised form. [40] The new amendments provide that the requirement of dematerialization will not apply to an unlisted public company which is: (i) a Nidhi company, (ii) a government company, or (iii) a wholly owned subsidiary.[41]
Science and Technology
Vinayak Krishnan (vinayak@prsindia.org)
DNA Technology (Use and Application) Regulation Bill, 2018 passed by Lok Sabha
The DNA Technology (Use and Application) Regulation Bill, 2018 was passed by Lok Sabha. The Bill provides for regulation of use of DNA technology for establishing the identity of certain persons. Key features of the Bill include:
For more information on the Bill, see here.
Labour and Employment
Trade Unions Amendment Bill, 2019 introduced in Lok Sabha
The Trade Unions (Amendment) Bill, 2019 was introduced in Lok Sabha.[42] The Bill amends the Trade Unions Act, 1926, which provides for the registration and regulation of trade unions. Key features of the Bill include:
A PRS summary of the Bill is available here.
Tribal Affairs
Roshni Sinha (roshni@prsindia.org)
Bills introduced to amend list of Scheduled Tribes in Assam and Karnataka
Two Bills were introduced in Rajya Sabha to amend the Constitution (Scheduled Tribes) Order, 1950, in respect of Assam and Karnataka. The Order specifies the list of tribal communities which are deemed to be Scheduled Tribes. These Bills are the Constitution (Scheduled Tribes) Order (Amendment) Bill, 2019 and the Constitution (Scheduled Tribes) Order (Second Amendment) Bill, 2019.[43],[44]
For more information on these two Bills, see here and here.
Standing Committee submits report on the Tribal Sub-Plan
The Standing Committee on External Affairs (Chairperson: Sh Ramesh Bais) submitted its report on ‘Assessment of the Working of Tribal Sub-Plan’ on January 3, 2019. The Tribal Sub-Plan (TSP) aims to bridge the gap between the Schedule Tribes and the general population with respect to all socio-economic development indicators in a time-bound manner. Key observations and recommendations of the Committee include:
A PRS summary of the report is available here.
Power
Prachee Mishra (prachee@prsindia.org)
Standing Committee on Energy submits report on Hydro Power
The Standing Committee on Energy (Chair: Dr. Kambhampati Haribabu) submitted its report on ‘Hydro Power’. Key observations and recommendations of the Committee include:
For a PRS report summary, see here.
Standing Committee submits report on stressed assets in gas based power plants
The Standing Committee on Energy (Chair: Dr. Kambhampati Haribabu) submitted its report on ‘Stressed/Non-Performing Assets in Gas based Power Plants’. Key observations and recommendations of the Committee include:
For a PRS report summary, see here.
Guidelines for bidding process for procuring power from grid connected solar PV power projects amended
The Ministry of Power notified amendments to the Guidelines for Tariff Based Competitive Bidding Process for Procurement of Power from Grid Connected Solar PV Power Projects.[45] These guidelines were released in August 2017. The amendments reduce the time frame for several stages under the bidding mechanism. The changes are as follows:
Public procurement guidelines for power sector to provide for local content released
The Ministry of Power released public procurement guidelines to provide for purchase preference (linked to local content) for the transmission, thermal, and hydro power sectors.[46],[47],[48] These guidelines are in furtherance of the notification of the Department of Industrial Policy and Promotion on public procurement (preference to Make in India).
The notifications provide details of the minimum local content required for various projects in these sectors. The Ministry of Power will constitute a Committee for each of the sectors to take decisions on complaints relating to implementation of the orders. Each Committee will be chaired by Member of the respective department of the Central Electricity Authority.
Water Resources
Zarka Shabir (zarka@prsindia.org)
CAG releases performance audit of the Accelerated Irrigated Benefits Programme
The Comptroller and Auditor General of India (CAG) released a performance audit of the Accelerated Irrigation Benefits Programme on January 8, 2019. The Accelerated Irrigation Benefits Programme (AIBP) was launched in 1996 with the aim of accelerating the implementation of irrigation projects that exceed the resource capabilities of states. Key findings and recommendations include:
For a PRS report summary, please see here.
Agriculture
Suyash Tiwari (suyash@prsindia.org)
Standing Committee submits report on agriculture marketing and role of weekly gramin haats
The Standing Committee on Agriculture (Chair: Mr. Hukmdev Narayan Yadav) submitted its report on ‘Agriculture Marketing and Role of Weekly Gramin Haats’.[49] Agriculture marketing in most states is regulated by the Agriculture Produce Marketing Committees (APMCs) established by state governments. Gramin Haats are rural markets where farmers can sell without going to APMC markets. Key observations and recommendations of the Committee include:
For a PRS report summary, please see here.
Transport
Prachee Mishra (prachee@prsindia.org)
Standing Committee submits report on maintenance of Railway bridges
The Standing Committee on Railways (Chair: Mr. Sudip Bandyopadhyay) submitted its report on ‘Maintenance of Bridges in Indian Railways: A Review’. Key observations and recommendations of the Committee include:
For a PRS report summary, see here.
Railways Convention Committee submits report on cleanliness and hygiene in coaches and stations
The Railways Convention Committee (Chair: Mr. Bhartruhari Mahtab) submitted its report on ‘Cleanliness and Hygiene in Coaches and Stations’. Key observations and recommendations of the Committee include:
For a PRS report summary, see here.
Information Technology
Vinayak Krishnan (vinayak@prsindia.org)
Standing Committee submits report on Setting up of Post Bank of India as a Payments Bank
The Standing Committee on Information Technology (Chairperson: Mr. Anurag Singh Thakur) submitted its report on ‘Setting up of Post Bank of India as a Payments Bank- Scope, Objectives, and Framework’ on January 8, 2019. The Indian Post Payment Bank (IPPB) is a financial service provider, launched with the mandate of improving financial inclusion through the postal network in the country. The IPPB is a public sector company under the Department of Posts. Key observations and recommendations of the Committee include:
For a PRS report summary, please see here.
External Affairs
Vinayak Krishnan (vinayak@prsindia.org)
Draft Emigration Bill released
The Ministry of External Affairs released the draft Emigration Bill, 2019.[50] The draft Bill seeks to provide a regulatory mechanism to govern overseas employment of Indian nationals, and protect and promote the welfare of Indian emigrants. Key features of the draft Bill include:
Standing Committee submits report on Issues Related to Migrant Labour
The Standing Committee on External Affairs (Chairperson: Dr. Shashi Tharoor) submitted its report on ‘Issues Relating to Migrant Workers including Appropriate Legislative Framework and Skill Development Initiatives for Prospective Emigrants’ on January 2, 2019. Key observations and recommendations of the Committee include:
For a PRS report summary, please see here.
Youth Affairs and Sports
Gayatri Mann (gayatri@prsindia.org)
Cabinet approves continuation of the scheme Rastriya Yuva Sashaktikaran Karyakram for 2017-18 to 2019-20
The Union Cabinet approved the continuation of Rastriya Yuva Sashaktikaran Karyakram (RYSK) for the period of 2017-18 to 2019-20 with an outlay of Rs 1,160 crore.[51] RYSK is a central sector scheme which aims to develop the personality and leadership qualities of youth and to engage them in nation building activities.
In 2016, the Ministry of Youth Affairs and Sports brought eight schemes under the umbrella scheme of RYSK. These schemes include: (i) Nehru Yuva Kendra Sangathan, (ii) National Youth Corps, (iii) National Programme for Youth and Adolescent Development, (iv) Youth Hostels, and (v) National Discipline Scheme.
Information and Broadcasting
Vinayak Krishnan (vinayak@prsindia.org)
Draft amendments to the Cinematograph Act, 1952 released
The Ministry of Information and Broadcasting has released draft amendments to the Cinematograph Act, 1952 for feedback.[52] The Act provides for certification of films for exhibition. Further, the Act imposes penalties for various offences such as: (i) exhibition of a film that has not been certified for public exhibition, or (ii) tampering with a film after it has been certified. The draft amendments propose additional penalties for film piracy. The penalties proposed include imprisonment up to three years or fine up to ten lakh rupees, or both.
[1] Parliament Session Wrap, January 9, 2019, http://www.prsindia.org/sites/default/files/Session%20wrap%20Winter%20Session%202018%20%289%20Jan%2019%29_0.pdf.
[2] “Address by the President of India, Shri Ram Nath Kovind to the Joint Sitting of two Houses of Parliament,” January 31, 2019, https://presidentofindia.nic.in/speeches-detail.htm?645.
[3] “Press Note on First Advance Estimates of National Income 2018-19”, Ministry of Statistics and Programme Implementation, January 7, 2019, http://www.mospi.gov.in/sites/default/files/press_release/Presss%20note%20for%20first%20advance%20estimates%202018-19.pdf
[4] “Press Note On First Revised Estimates of National Income, Consumption Expenditure, Saving and Capital Formation for 2017-18”, Ministry of Statistics and Programme Implementation, January 31, 2019 http://www.mospi.gov.in/sites/default/files/press_release/FRE%20of%20Nat....
[5] “Consumer Price Index Numbers on Base 2012=100 for Rural, Urban and Combined for the month of December 2018”, Press Release, Ministry of Statistics and Programme Implementation, January 14, 2019, http://www.mospi.gov.in/sites/default/files/press_release/Press%20Statement_0.pdf.
[6] “Index Numbers of Wholesale Price in India (Base: 2011-12=100): Review for the month of December, 2018”, Press Information Bureau, Ministry of Commerce and Industry, January 14, 2019
[7] Report No. 70, Standing Committee on Finance, “The Banning of Unregulated Deposit Schemes Bill, 2018, January 2019, http://164.100.47.193/lsscommittee/Finance/16_Finance_70.pdf.
[8] “Committee on Deepening of Digital Payments”, Press Release, Reserve Bank of India, January 8, 2019, https://rbidocs.rbi.org.in/rdocs/PressRelease/PDFs/PR159028CC3F640AFF45138E1FE4D36BDCBF43.PDF.
[9] “Micro, Small and Medium Enterprises (MSME) sector – Restructuring of Advances”, Press Release, Reserve Bank of India, January 1, 2019, https://rbidocs.rbi.org.in/rdocs/notification/PDFs/NOTI10062D55CDAC41B47749D3213030B5E3D99.PDF.
[10] “RBI constitutes Expert Committee on Micro, Small & Medium Enterprises (MSMEs)”, Press Release, Reserve Bank of India, January 2, 2019, https://rbidocs.rbi.org.in/rdocs/PressRelease/PDFs/PR154099813943CAFB42CCA346F1F7D9BD4CBD.PDF.
[11] “Tokenisation – Card Transactions”, Press Release, Reserve Bank of India, January 8, 2019, https://rbidocs.rbi.org.in/rdocs/notification/PDFs/NT103FB1ACF7FF52B4F77BF82BDE43375F3AE.PDF.
[12] Report No. 20, Comptroller and Auditor General of India, ‘Compliance of the Fiscal Responsibility and Budget Management Act, 2003 for the year 2016-17’, January 8, 2019, https://www.cag.gov.in/sites/default/files/audit_report_files/Report_No_20_of_2018_Compliance_of_the_Fiscal_Responsibility_and_Budget_Management_Act_2003_Department_of_Economic_Affairs_Minis.pdf.
[13] “Major Decisions taken by the GST Council in its
32nd Meeting held today under the Chairmanship
of the Union Minister of Finance & Corporate
Affairs, Shri Arun Jaitley”, Press Information Bureau, Ministry of Finance, January 10, 2019.
[14] “Major Decisions taken by the GST Council in its
32nd Meeting held today under the Chairmanship
of the Union Minister of Finance & Corporate
Affairs, Shri Arun Jaitley”, Press Information Bureau, Ministry of Finance, January 10, 2019.
[15] “Cabinet approves creation of the National Bench of
the Goods and Services Tax Appellate Tribunal
(GSTAT)”, Press Information Bureau, Cabinet, January 23, 2019.
[16] The Constitution (One Hundred and Twenty Fourth Amendment) Bill, 2019, http://www.prsindia.org/billtrack/constitution-one-hundred-and-twenty-fourth-amendment-bill-2019.
[17] Citizenship (Amendment) Bill, 2019, http://prsindia.org/sites/default/files/bill_files/Citizenship%20%28A%29%20Bill%2C%202019%20as%20passed%20by%20LS.pdf.
[18] Report of the Joint Committee on the Citizenship (Amendment) Bill, 2016, Lok Sabha, January 7, 2019, http://164.100.47.193/lsscommittee/Joint%20Committee%20on%20Bill%20to%20amend%20the%20Citizenship%20Act,%201955/16_Joint_Committee_on_Bill_to_amend_the_Citizenship_Act_1955_1.pdf .
[19] “Government notifies High Level committee for implementation of Clause 6 of Assam Accord”, Press Information Bureau, Ministry of Home Affairs, January 6, 2019.
[20] “Cabinet approves high level committee to implement Clause 6 of Assam Accord”, Press Information Bureau, Ministry of Home Affairs, January 2, 2019.
[21] The Right to Education (Second Amendment) Bill, 2019 (as passed by Parliament), Ministry of Human Resource Development, January 3, 2019, http://164.100.47.4/BillsTexts/LSBillTexts/PassedLoksabha/166_C_2017_LS_Eng.pdf.
[22] The National Council for Teacher Education (Amendment) Bill 2019, (as passed by Parliament), Ministry of Human Resource Development, January 3, 2019, http://164.100.47.4/BillsTexts/LSBillTexts/PassedLoksabha/203c_ls_eng_%20Teacher.pdf.
[23] “Reservation for Economically Weaker Sections (EWSs) for admission in central education institutions, Ministry of Human Resource Development, http://mhrd.gov.in/sites/upload_files/mhrd/files/ews.pdf.
[24] The National Commission for Homoeopathy Bill, 2019, Ministry of Health and Family Welfare, January 7, 2019, http://www.prsindia.org/sites/default/files/bill_files/Nationl%20commission%20for%20Homoeopathy%20bill%2C%202019.pdf.
[25] The National Commission for Indian System of Medicine Bill, 2019, Ministry of Health and Family Welfare, January 7, 2019, http://www.prsindia.org/sites/default/files/bill_files/Nationl%20commission%20for%20Indian%20system%20of%20medicine%20bill%2C%202019.pdf.
[26] The Indian Medical Council (Amendment) Ordinance, 2019, http://www.prsindia.org/billtrack/indian-medical-council-amendment-ordinance-2019.
[27] “Cabinet approves restructuring of National Health Agency as "National Health Authority" for better implementation of Pradhan Mantri - Jan Arogya Yojana”, Press Information Bureau, January 2, 2019.
[28] About NHA, Ministry of Health and Family Welfare, https://www.pmjay.gov.in/about-nha.
[29] “Reservation for Economically Weaker Sections (EWSs) in civil posts and services in the Government of India, Ministry of Personnel, Public Grievances and Pensions, Department of Personnel and Training, http://documents.doptcirculars.nic.in/D2/D02adm/EWSreservationx5i3a.pdf.
[30] National Clean Air Programme, Ministry of Environment, Forest and Climate Change, http://envfor.nic.in/sites/default/files/press-releases/NCAP%20Report%20Full.pdf.
[31] The Muslim Women (Protection of Rights on Marriage) Bill, 2018, https://prsindia.org/sites/default/files/bill_files/Muslim%20Women%20%28Protection%20of%20rights%20on%20marriage%29%20Bill%2C%202018_0.pdf.
[32] The Muslim Women (Protection of Rights on Marriage) Ordinance, 2018, https://prsindia.org/sites/default/files/bill_files/Muslim%20women%20%28Triple%20Talaq%29%20Ordinance%2C%202018.pdf.
[33] The Muslim Women (Protection of Rights on Marriage) Ordinance, 2019, http://www.prsindia.org/sites/default/files/bill_files/Muslim%20Women%20%28Protection%20of%20Rights%20on%20Marriage%29%20Ordinance%2C%202019.pdf.
[34] “The Aadhaar and Other Laws (Amendment) Bill, 2018”, http://www.prsindia.org/sites/default/files/bill_files/Aadhaar%20Bill%2C%202018.pdf.
[35] The Personal Laws (Amendment) Bill, 2018, http://www.prsindia.org/sites/default/files/bill_files/Personal%20Laws%20%28A%29%20bill%2C%202018%20Bill%20Text.pdf.
[36] The New Delhi International Arbitration Centre Bill, 2018, http://www.prsindia.org/sites/default/files/bill_files/ND%20International%20Arbitration%20Centre%20Bill%2C%202018.pdf.
[37] The Companies (Amendment) Bill, 2018, https://prsindia.org/sites/default/files/bill_files/Companies%20%28Amendment%29%20Bill%2C%202018.pdf.
[38] The Companies (Amendment) Ordinance, 2018, https://prsindia.org/sites/default/files/bill_files/Companies%20Amendment%20Ordinance%202018.pdf.
[39] The Companies (Amendment) Ordinance, 2019, http://www.prsindia.org/sites/default/files/bill_files/Companies%20%28Amedment%29%20Ordinance%2C%202019.pdf.
[40] Companies (Prospectus and Allotment of Securities) Third Amendment Rules, 2014, http://egazette.nic.in/WriteReadData/2018/189439.pdf.
[41] Companies (Prospectus and Allotment of Securities) Third Amendment Rules, 2019, http://www.mca.gov.in/Ministry/pdf/CompaniesProspectusAllotmentRule_23012019.pdf.
[42] The Trade Unions (Amendment) Bill, 2019, http://www.prsindia.org/sites/default/files/bill_files/Trade%20Unions%20%28A%29%20bill%2C%202019.pdf.
[43] The Constitution (Scheduled Tribes) Order (Amendment) Bill, 2019, ,http://www.prsindia.org/sites/default/files/bill_files/ST%20order%20%28A%29%20Bill%2C%202019.pdf.
[44] The Constitution (Scheduled Tribes) Order (Second Amendment) Bill, 2019, http://www.prsindia.org/sites/default/files/bill_files/ST%20order%20%28Second%20Amendment%29%20Bill%2C%202019.pdf.
[45] “Amendments to the Guidelines for Tariff Based Competitive Bidding Process for Procurement of Power from Grid Connected Solar PV Power Projects”, No. 23/27/2017-R&R., Ministry of Power, January 3, 2019, https://powermin.nic.in/sites/default/files/webform/notices/Amendment_to_Solar_Guidelines_3_Jan_2019.pdf.
[46] “Public Procurement (Preference to Make in India) to provide for Purchase Preference (linked with local content) in respect of Thermal Power Sector”, No. 11/05/2018, Ministry of Power, December 20, 2018, https://powermin.nic.in/sites/default/files/webform/notices/Thermal_Order_dt_28_12_2018.pdf.
[47] “Public Procurement (Preference to Make in India) to provide for Purchase Preference (linked with local content) in respect of Transmission Power Sector”, No. 11/05/2018, Ministry of Power, December 20, 2018, https://powermin.nic.in/sites/default/files/webform/notices/Trans_Order_dt_20_12_2018.pdf.
[48] “Public Procurement (Preference to Make in India) to provide for Purchase Preference (linked with local content) in respect of Hydro Power Sector”, No. 11/05/2018, Ministry of Power, December 20, 2018, https://powermin.nic.in/sites/default/files/webform/notices/Hydro_Order_dt%2020_12_2018.pdf.
[49] Report No. 62, Standing Committee on Agriculture, ‘Agriculture Marketing and Role of Weekly Gramin Haats’, Lok Sabha, January 3, 2019, http://164.100.47.193/lsscommittee/Agriculture/16_Agriculture_62.pdf.
[50] Draft Emigration Bill, 2019, https://mea.gov.in/Images/amb1/Emigration_Bill_2019.pdf.
[51] “Cabinet approves continuation of Rastriya Yuva Sashaktikaran Karyakram Scheme for the Period 2017-18 to 2019-2020”, Press Information Bureau, January 2, 2019.
[52] “Public comments sought on Cinematograph Act (Amendment) Bill”, Ministry of Information and Broadcasting, January 3, 2019, https://mib.gov.in/sites/default/files/Public%20Notice%20-%20Amendment%20of%20Cinematograph%20Act%20Bill.pdf.
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